CAAN spends over Rs14 billion on land acquisition for construction of airports

A huge amount of budget has been spent on the land acquisition for construction of various airports around the country.

Civil Aviation Authority of Nepal (CAAN) invested Rs 14 billion for land acquisition and compensation in the last fiscal year whereas Rs 8.55 billion has been allocated for land acquisition for the current fiscal year. Constructions of the airport have become more expensive and complicated as the authority has spent a lot of money on acquiring land for construction of the airport.

The authority has allocated a budget of Rs45 billion for the construction, renovation of airport and development of the aviation sector for the current fiscal year.

Previously, five billion rupees were paid as the land compensation at Koteshwar for the extension of Tribhuvan International Airport (TIA).

Similarly, Rs 13 billion was allocated for Gautam Buddha International Airport (GBIA) project during fiscal year 74/75. The physical progress of the airport reached above 50 percent and expected to be in operation in the next ten months.

Rs 1 billion budget has been allocated for Pokhara airport, Rs 150 million for land acquisition of Biratnagar airport expansion, Rs 300 million for Chandragadhi airport of Jhapa, Rs 50 million for Janakpur airport and Rs 3 million for Dolpa airport. Though more than Rs 1 billion was invested for Pokhara airport but only 10.50 per cent was invested.
The government has also allocated additional budget for upgrading the airports which are in operations.

The government of State 1 took the policy to expand the Biratnagar airport with the aim of operating flights to neighboring countries. Nepalgunj airport which is in operation is being upgraded. Likewise, Surkhet airport is on the list of upgrading project. The upgrading projects are conducted with the aim of expanding air services and making it more effective.

Similarly, 250 million rupees have been allocated for land acquisition on Nagidanda of Kavrepalanchowk, which is proposed project for construction of an alternative domestic airport.

Rs. 840 million was allocated for the land acquisition of Second International Airport at Nijgadh whereas Rs 550 million has been allocated in the construction of the runways, Taxiway and Apron. The Authority has spent only Rs. 130 million in electricity and water facility. Rs 100million has been spent in the support system, Rs 170 million towards other services, Rs 960 million in the construction of Apron road, Rs 70 million in the mechanical device/equipment and Rs. 70 million in sanitation.

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